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Feds Collect Record Taxes in First Month Under Tax Cut

The Federal government has collected a record amount of taxes in the first month after the implementation of the tax cut rate. In the month of January, the Federal government collected a surplus of taxes which amounted to a record collection of tax revenue. The new tax law which was signed by the president of the United States in the month of December the previous year, January was the first month to come under the effect of the new tax law. During the tax collection period in the month of January, the Treasury Department collected approximately about 361,038,000,000 dollars in total tax revenues and spent a total of about 311,802,000,000 dollars for the running of a surplus of approximately about 49,236,000,000 dollars.

In spite of the surplus collected in the month of January of 49,236,000,000 dollars, the federal government is still running at a deficit of about 175,718,000,000 dollars for the fiscal year 2018. This is because of the fact that the government entered the month of January with an approximate deficit of about 224,955,000,000. The total amount of tax 361,038,000,000 dollars which is collected by the Treasury Department in January was actually 11,747,870,000 dollars more than 349,290,130,000 dollars that the department had collected in the month of January in the previous year. The amount so mentioned is in December 2017 dollars rate as adjusted using the Bureau of Labor Statistics inflator calculator.

In the month of January, the Treasury Department not only collected a record amount of taxes but also had collected a record tax revenues for the first four months of a fiscal year that is from the month of October to January. Till now in the fiscal year 2018, the federal government has collected a total amount of 1,130,550,000,000 dollars in taxes. However, in spite of the record amount of tax collections so far for the fiscal year and in spite of a month of surplus in the month of January, the federal government is still running a cumulative shortage of 175,718,000,000 dollars in this particular fiscal year. This is because of the fact that while the department was collecting its record amount of taxes of 1,130,550,000,000 dollars from the month of October through January, it was spending 1,306,268,000,000 dollars. Thus, it is very clear why the shortfall still exists.